Centre may ease PLI scheme for AC and LED manufacturing firms

20 Sep 2021 CW Team

Panasonic, Daikin, Bluestar, TVS-Lucas, Dixon, Havells and Syska are among the 52 firms that have invested Rs 5,866 crore under the PLI programme for LED lighting and white goods.

The scheme proposes incentives of 4-6% on incremental sales of goods made in India until FY29.

Anil Agrawal, additional secretary, Department for Promotion of Industry and Internal Trade (DPIIT), told the media that investments done after April 1, 2021, will be allowed for incentives for those who qualify in the PLI scheme. It is because they had declared the scheme in November last year. Firms making the cut will receive a one-year gestation period to install their plants.

The scheme is fund-limited, and the incentive amount is limited. For air conditioners, the limit is the net incremental sale of qualified product(s) up to five times the total threshold investment in the preceding financial year.

For LED lights, the limit is the net incremental sale of the eligible product(s) up to six times the total threshold investment in the preceding financial year.

The application window for the Rs 6,238 crore PLI scheme for white goods was from June 15 to September 15. Agrawal said that the department has selected IFCI Limited to serve as the project manager, which will assess the applications made. The incentive expenses are likely to be lower than the predicted payout of Rs 6,238 crore even if 50 firms get elected. The scheme is economical.

In total, 31 firms have committed around Rs 4,995 crore investment for AC components, and 21 firms have committed Rs 871 crore investment for LED components.

The scheme intends to make India self-reliant in the production of ACs and LEDs. Of the three elements of ACs, India is reliant on imports for copper tubes and aluminium foils. The domestic capacity of the third component, compressor, is likely to surge four times to 6 million units due to the scheme.

Image Source

Also read: Govt nods Rs 26,058 cr PLI scheme for automobile and drone industry

India may ease terms of agreement for air conditioner and LED makers selected for the Production Linked Incentive (PLI) scheme for white goods, enabling investments made after April 1 this year to be eligible for advantages under the programme. Panasonic, Daikin, Bluestar, TVS-Lucas, Dixon, Havells and Syska are among the 52 firms that have invested Rs 5,866 crore under the PLI programme for LED lighting and white goods. The scheme proposes incentives of 4-6% on incremental sales of goods made in India until FY29. Anil Agrawal, additional secretary, Department for Promotion of Industry and Internal Trade (DPIIT), told the media that investments done after April 1, 2021, will be allowed for incentives for those who qualify in the PLI scheme. It is because they had declared the scheme in November last year. Firms making the cut will receive a one-year gestation period to install their plants. The scheme is fund-limited, and the incentive amount is limited. For air conditioners, the limit is the net incremental sale of qualified product(s) up to five times the total threshold investment in the preceding financial year. For LED lights, the limit is the net incremental sale of the eligible product(s) up to six times the total threshold investment in the preceding financial year. The application window for the Rs 6,238 crore PLI scheme for white goods was from June 15 to September 15. Agrawal said that the department has selected IFCI Limited to serve as the project manager, which will assess the applications made. The incentive expenses are likely to be lower than the predicted payout of Rs 6,238 crore even if 50 firms get elected. The scheme is economical. In total, 31 firms have committed around Rs 4,995 crore investment for AC components, and 21 firms have committed Rs 871 crore investment for LED components. The scheme intends to make India self-reliant in the production of ACs and LEDs. Of the three elements of ACs, India is reliant on imports for copper tubes and aluminium foils. The domestic capacity of the third component, compressor, is likely to surge four times to 6 million units due to the scheme. Image SourceAlso read: Govt nods Rs 26,058 cr PLI scheme for automobile and drone industry

Real Estate

17 Sep 2025

RBI Buys 4.16-Acre Nariman Point Land for Rs 34.72bn

In one of the largest real estate transactions in recent years, the Reserve Bank of India (RBI) has acquired a 4.16-acre land parcel at Nariman Point, Mumbai, from the Mumbai Metro Rail Corporation (MMRC) for Rs 34.72 billion. The deal, registered on 5 September, attracted a stamp duty of Rs 2.08 billion, according to CRE Matrix, a real estate data analytics firm.The prime property, located near the backbay reclamation area, lies in the heart of Nariman Point—one of Mumbai’s most prestigious commercial districts. Flanked by Marine Drive, Mantralaya, consulates, and landmark office towers, ..

Real Estate

17 Sep 2025

Indian Real Estate Draws $80bn in 15 Years, 57 per cent from Foreigners

India’s real estate sector has attracted nearly $80 billion in institutional investments over the past 15 years, with foreign investors contributing 57 per cent, according to a joint report by CREDAI and Colliers India.The report, Indian Real Estate: Fostering Equity and Fuelling Economic Growth, was released during CREDAI’s annual event, NATCON. CREDAI, the apex body representing more than 13,000 developers, highlighted the significant growth in institutional inflows, which include family offices, foreign corporate groups, foreign banks, pension funds, private equity, listed REITs, sovere..

Real Estate

17 Sep 2025

Indian REITs Offer 6-7.5 per cent Yield, Surpassing Many Global Markets

Indian Real Estate Investment Trusts (REITs) are delivering average yields of 6–7.5 per cent for unitholders, outperforming many mature markets, including the US, according to a report by Credai and Anarock.Credai, the apex body of Indian real estate developers, and property consultant Anarock released the report Indian REITs – A Gateway to Institutional Real Estate at an event in India.Currently, India has five listed REITs – Brookfield India Real Estate Trust, Embassy Office Parks REIT, Mindspace Business Parks REIT, Nexus Select Trust, and Knowledge Realty Trust. Nexus Select Trust pr..